National PPP Summit INFRASTRUCTURE FORUM April 2008

1.Sustaining meaningful relationships between stakeholders 2.Overcoming the partnering challenges with PPP delivery 3.Working with government to ensure efficient delivery of projects 4.Resolving disputes

1.1 Sustaining meaningful relationships between stakeholders Partnership Charter Relationship management

1.2 Sustaining meaningful relationships between stakeholders Use of common internet information exchange platform – InCITE User Group input User Group empowerment

1.3 Sustaining meaningful relationships between stakeholders Bedding in of Partnership

2.1 Overcoming the partnering challenges with PPP delivery Construction Face to Face daily/weekly communications Brown field site – constant change to the environment and systems to manage Conflicting priorities - time and cost vs. business continuity - applying the fairness test Negotiation parameters and scope – managing scope creep Getting the right people at the table – commitment to solutions Keeping up with technology Value adding the solution – e.g. ESD, Security Retail and student accommodation– the commercial transition Third Party

2.2 Overcoming the partnering challenges with PPP delivery Operations Contract Management Managing changeover from public to private delivery structures and service arrangements KPI monitoring Service standards Increased demand for facilities – Celcat programming Encouraging staff to use alternative teaching methods/technologies Institute liaison with Operator Operations Committee

3. Working with government to ensure efficient delivery of projects Partners should understand of the client’s business Flexible Design Development process is required Be committed to delivering outcomes with optimal solutions

Understanding the Business In 2004 Buildings not fit for purpose Poor utilization of space IT incompatible Poorly maintained facilities Need for compliance upgrades Inflexible spaces for changing education needs Poor use of energy Inefficient use of ‘footprint’ Inefficient energy and utilities

Buildings not Fit for Purpose

Not IT Compatible

Poorly Maintained Facilities Need for Compliance Upgrades

Inflexible Spaces for Changing Education Needs

Inefficient use of ‘Footprint’

Inefficient Energy and Utilities

Southbank Institute of Technology Queensland’s largest Technical and Further Education (TAFE) institute More than 24,000 students including 2,500 international 400 staff Annual budget of $100 million Located close to Brisbane’s CBD

Business Solutions Adaptable Flexible Buildings Buildings for the future in keeping with modern precinct Greater public use of facilities Flexible learning spaces Responsive Teaching and Learning Spaces Opportunity to reconstruct core delivery systems and services Opportunity to introduce a alternative teaching modes e.g. Mode 2 Opportunity to introduce a greater range of learning technologies Cost Effective Operations Efficiencies through one-campus operations Greater efficiency of non-core services in the delivery of core services Affordability Limited to Agency Business Case

Flexible Design Development Process Ongoing design solutions – throughout the Construction phase Consultation with end users – full access as required Flexible decanting and transition plan – adapting to available space Better management of delays – high level of trust/commitment Variations management process – implement and comply with strict rules from the outset Ability to respond to policy change – Skills Plan

Master Plan 11 new buildings 4 refurbished buildings Onsite student accommodation

Construction Phase $234 million construction Business-as-usual during construction Two construction stages Design Development in conjunction with client Decanting and use of alternative facilities Project team based at Southbank Institute with significant support from other government agencies including: Department of Education, Training and the Arts Department of Infrastructure and Planning Queensland Treasury Department of Works

Construction Timeline To be completed four months ahead of schedule August – Construction begins January Building D annex (new) 29 June - Building H (new) July – winner international Public Private Finance Awards July – Building C (new) 31 October – Building B (refurbished) March - Stage 1 buildings opened by Premier Anna Bligh 14 April – Building E (new) - original schedule 30 June April – Building A (refurbished) 19 May Building F (new) – original schedule October June Building D (refurbished) – original schedule 30 June July – Building G (new & refurbished) original schedule 11 October 2008

Beauty Therapy ‘Live’ environment

Contemporary Music High level of User participation delivered exceptional outcome

COTAH Restaurant Increased business

Dental Technology World-best technology

Gym & Fitness Encouraging corporate and community health

Health and Applied Sciences Industry standard teaching and learning environment

Creative Industries Purpose-built facility inspiring creativity across disciplines

Gallery Spaces for Student Work On-campus exhibitions advance career opportunities and enhance community

Indigenous Australian Peoples Unit Community and cultural space

Knowledge Transfer Zones Encouraging ‘connections’

Lecture & Performance Spaces Flexible spaces across the campus seating up to 650

Library & e-Learning Substantial increase in student participation and collaboration

Multi-purpose teaching & learning spaces Integrated wireless infrastructure

Art Built-In $ 2.5m

Campus Heart Services Institute and Third Party

Vibrant Outdoor Spaces Award winning designs for Queensland climate

Resolving Disputes Governance structure for escalation Dispute mechanism

Collaborative Results No disputes to date Over 100 variations completed $15m value - 6.4% capital cost On budget Nil delays Ahead of schedule by 4 months No days lost to Institute business No courses cancelled or deferred International business increased

Optimal Outcome Energy efficient ‘green’ facilities Flexible learning spaces ‘Live’ teaching and learning environments Accredited standards for fitouts to operate commercially Reconstruction of delivery systems and services * Mode ll learning areas * Use of latest technologies Fully IT networked campus Modern Precinct catering to diverse needs Areas for public use * Ground floor studios * Auditoria * Meeting spaces * Retail Single campus operations Managed risk Value for Money

Lessons Early face-to-face engagement with consortia is highly desirable Greater involvement of the service provider in bid development and contract execution Higher level of prescription required prior to financial close – Management Plans * Transition * Change * Service Standards Be clear about expectations regarding levels of innovation Appoint the end-user as State Representative Greater incentives for innovation and productivity

63 Bent St Toowong 4066 m: NORM JAGGER ETHICAL LEADERSHIP AND GOOD GOVERNANCE BY EXAMPLE. DRIVING BEST PRACTICE THROUGH EDUCATION, COLLABORATION AND CONSENSUS. MAKING A SUSTAINABLE DIFFERENCE IN THE WORLD.